Pep Guardiola vetoed a proposed swap involving Sterling and Alexis Sanchez on transfer deadline day with City preferring to offer straight cash.

The City manager is adamant Sterling has a role to play at the Etihad and says the England international is fully committed to his project but it is understood the 22-year-old is open to a return to London and the chance to play more regularly at Arsenal.

Manchester City were unwilling to let Raheem Sterling leave as part of the Alexis Sanchez deal

Arsenal had a £92m bid accepted for Thomas Lemar but the deal fell through on deadline day

City will return for Sanchez in January and will offer around £20million for the Chilean. Arsenal retain interest in signing Sterling and Monaco's Thomas Lemar.

News of Arsenal's continued interest in the two players who slipped through their grasp towards the end of the summer transfer window comes on the day Dick Law stood down as club transfer negotiator.

Share this article

Law leaves at the end of the month and the matter has been handled amicably and will allow Law to return home to the United States for family reasons.

Law is a close ally of Gunners boss Arsene Wenger and has been working in the transfers department at Arsenal for the past eight years.

Dick Law (centre) is leaving his role as Arsenal transfer negotiator after eight years in the job

Law is a close ally of manager Arsene Wenger but he wants to return to the United States

The club appointed Huss Fahmy, formerly of cycling outfit Team Sky, in June to work alongside Law - chiefly on player contracts.

It is understood that a decision has yet to be taken on whether Fahmy will now fulfil the role in Law's absence or if the club will look to recruit a direct replacement.

While Wenger has come in for criticism following a transfer window that left many Arsenal fans disappointed, even though they broke their transfer record to recruit Alexandre Lacazette, Law has also faced condemnation.